What is the main advantage of a partnership over a sole proprietorship? A. Shared decision making B. Limited liability C. Tax benefits D. Separate legal entity
Question
What is the main advantage of a partnership over a sole proprietorship? A. Shared decision making B. Limited liability C. Tax benefits D. Separate legal entity
Solution
The main advantage of a partnership over a sole proprietorship is A. Shared decision making. In a partnership, the responsibility of running the business, making decisions, and any financial investment required is divided among the partners. This can lead to better decision making as different people bring different skills and perspectives to the table. It also reduces the financial burden on any one individual, as costs are shared.
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